Remote tax return system

Abstract

The invention provides a business method for remote preparation of tax return services comprising of: (a) establishing a secure website offering tax return preparation services (b) registering the customer for said service via a service channel (c) collecting basic customer information including income, deduction and preference of service channel (d) classification of customer based on predetermined criteria (e) billing the customer as per customer classification (f) request for authorization and predetermined information from the customer (g) receipt of predetermined information from the customer (h) storage of customer data into the remote database (i) preparation of tax return by a first professional tax preparer (j) review by a second professional tax preparer (k) transmitting the prepared tax return to the customer for acceptance, optionally (l) filing of the prepared tax return upon receipt of customer acceptance (m) providing notification and a copy of filed return to the customer.

Description

CROSS-REFERENCE TO RELATED APPLICATIONS[0001]Not ApplicableSTATEMENT REGARDING FEDERALLY SPONSORED RESEARCH OR DEVELOPMENT[0002]Not ApplicableTHE NAMES OF THE PARTIES TO A JOINT RESEARCH AGREEMENT[0003]Not ApplicableINCORPORATION-BY-REFERENCE OF MATERIAL SUBMITTED ON A COMPACT DISC[0004]Not ApplicableBACKGROUND OF THE INVENTION[0005]1. Field of the Invention[0006]This invention relates to a business method for a tax services system, more specifically to a remote system for providing tax return services. This invention facilitates a tax payer (customer) to seek the help of a tax preparer to prepare and file tax returns from the convenience of a remote location.[0007]2. Background of the Invention[0008]Tax preparation and filing is a complex and iterative process which requires thorough understanding of tax laws, customer specific situation as well as time. Typically a customer has two options to meet his Internal Revenue Service (IRS) tax filing obligations; either by preparing tax r...

AI Technical Summary

Benefits of technology

The present invention provides a business method for remote preparation of tax return services that offers customers the advantage of customized tax return preparation from the comfort of home or any remote location at an economical rate and without loss of time, effort, or responsiveness. The method is reliable, professional, easy to use, economical, and responsive to customer needs. The technical effects are improved service delivery and customer satisfaction.

Problems solved by technology

Tax preparation and filing is a complex and iterative process which requires thorough understanding of tax laws, customer specific situation as well as time.

Although this option eliminates the need to spend time and effort in travelling to meet a tax preparer, it does not simplify the customer's experience in preparing the tax returns.

Most of the times, a customer comes across uncertain tax situation, to which the online software is not able to answer satisfactorily.

Though it provides inbuilt help option, most problems addressed in the help option are usually rudimentary questions, and do not thoroughly address the specific situation faced by a taxpayer.

However, the customer has to pay to buy the software or have a subscription to avail these facilities.

This set up makes the process further complicated and time consuming.

In addition, in order to ask a question, a taxpayer has to be first aware that there is an issue with the tax position they have taken for either reporting income or taking a deduction.

In many instances, the taxpayer is not adequately aware of the tax regulation to even realize that there is a problem that requires consulting with a tax professional until they are audited, and then the search for professional help is too late.

At the end, if the software is not competitive enough and if the customer does not have a thorough knowledge of tax preparation, he ends up being confused and is likely to commit mistakes in the preparation of return.

There is also a likelihood of the customer missing the deadline of the tax filing in the peek time of April, thereby having to pay penalty for the delay.

Besides, these software products are not user-friendly from the perspective of customers who may not be software literate, or have special needs, or are blind, disabled, or are elderly.

With regards to the option of visiting the tax preparer's office, while there is the advantage of having a one on one encounter with the tax preparer without the customer experiencing the hassle of dealing with preparing the tax return on his own, there are associated disadvantages, including but not limited to the inconvenience of traveling to the tax preparer's location, time spent in the tax preparer's waiting area, and the possibility of paying higher fees as is sometimes the case when tax preparation service providers take advantage of customers by charging per form completed even when the supporting forms are automatically generated by the tax return preparation software.

In this invention the customer needs to complete the entire process on their own, although there is an option for review by experts, it does not provide a solution tailor made to meet individual customer needs.

The process is time consuming for the customer, uneconomical and does not have a provision where the tax return is prepared by the professional tax preparer based on the specific needs of the customer.

This makes the entire process further time consuming and leads to duplication of efforts, first when the customer attempts to use the software on his own, and on further occasions when he attempts to contact the tax preparer and explain the difficulties faced while using the software.

This solution cannot be relied upon as fully accurate since it does not involve any input from the customer's end.

This method is not practical at all times since it essentially relies on availability of electronic tax return data.

This is again a computer based system and the accuracy of a partially completed tax return is doubtful if there is an oversight by the customer while reviewing the partially completed tax return.

This method is unsuitable for preparing tax return of individual tax payers based on their specific requirements.

U.S. Pat. No. 7,853,494, issued on Dec. 14, 2010, titled, “EFFICIENT WORK FLOW SYSTEM AND METHOD FOR PREPARING TAX RETURNS” includes a processor-based method for preparing a tax return using multiple service providers and is hence associated with higher overhead costs and is not economical.

U.S. Pat. No. 7,756,761, issued on Jul. 13, 2010, titled, “TAX RETURN OUTSOURCING AND SYSTEMS FOR PROTECTING DATA” discloses a system for outsourcing tax return preparation services remote locations outside the United States which involves multiple interfaces between the customer and final service providers resulting in a lack of timely, responsive and personalized engagement with the customer.

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